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Average Patient Charge First: The Fastest Path to Practice Cash Flow

  • Writer: Doctors CFO
    Doctors CFO
  • Oct 31
  • 3 min read

Introduction: When Cash Flow Feels Tight

When cash flow starts to pinch, most practice owners look outward—new marketing campaigns, new devices, even expansion plans.

But the fastest way to boost cash flow isn’t out there. It’s inside your existing patient flow.

The key is your Average Patient Charge (APC)—the amount you actually collect per visit.

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What Average Patient Charge Tells You

Average Patient Charge measures how much your practice truly collects per visit. It’s a simple formula:

Average Patient Charge = Adjusted Collections ÷ Total Visits

This number reveals more about your practice’s financial health than almost any other metric.

When visit volume dips, your Average Patient Charge often drops too—especially when:

  • A top producer is out of the office

  • The team under-presents add-on services or products

  • Providers fail to close on recommended care plans

Here’s why it matters:

A $20 drop in Average Patient Charge across 1,400 visits per month equals

$28,000 in lost revenue—over $300,000 a year.

Small shifts in structure or communication can create big, immediate gains.


The 4×4 Average Patient Charge Lift Grid

To raise your Average Patient Charge, you don’t need more patients—you need consistency and creativity. That’s where the 4×4 Average Patient Charge Lift Grid comes in.

Think of it as two sets of levers: Revenue Levers and Execution Levers. Each one matters on its own, but when combined, they create 16 possible improvement moves you can deploy across your team.


Revenue Levers

These are the actions that directly increase what each visit is worth:

  1. Bundle: Combine related treatments into packages that enhance outcomes.

  2. Frequency: Schedule proactive follow-up and maintenance visits.

  3. Mix: Offer higher-value services that align with patient goals.

  4. Pricing: Review fees for outdated or underpriced procedures and add-ons.

Execution Levers

These are the systems that make those revenue ideas stick:

  1. Training: Teach staff to present care confidently and consistently.

  2. Tools: Use visuals, tablets, or printed “care roadmaps” to support explanations.

  3. Scripts: Replace “Would you like…” with “My prescription includes…”.

  4. Audit: Track your Average Patient Charge weekly and celebrate wins.

When you cross these two sets—4 revenue levers × 4 execution levers—you get 16 practical combinations for raising collections without adding hours or new overhead.


For example:

  • Bundle × Training: Teach staff to present treatment packages confidently.

  • Mix × Tools: Use visuals to help patients understand higher-value options.

  • Pricing × Audit: Ensure your fee schedule and coding stay aligned with value.

This grid becomes a simple, repeatable framework for driving sustainable growth.


The Prescription Approach

Forget pushy upselling. Think clinical authority instead.

Use a “prescription sheet” that lists the provider’s recommended treatments with timing and rationale. This reframes additional services as , not optional add-ons.

Example:

Instead of: “Would you like to add fluoride today? ”Say: “My prescription today includes a fluoride treatment. It helps strengthen enamel and protect against sensitivity after your cleaning.”

Patients trust prescriptions more than pitches. And that trust drives both acceptance and outcomes.

Real-World Results

One dental practice adopted this structure and saw immediate improvement. They didn’t add new staff, extend hours, or buy new equipment.

They simply introduced a daily “Average Patient Charge Huddle,” trained staff on language, and used the prescription approach.

The result?

A $20 increase in Average Patient Charge per visit—adding roughly $28,000 in monthly collections.

No advertising. No new technology. Just better communication, structure, and consistency.


Start Tomorrow: The 5-Minute Average Patient Charge Huddle

You can start right away:

  1. Hold a 5-minute morning huddle.

  2. Review yesterday’s Average Patient Charge.

  3. Choose one focus area—a service, product, or phrase.

  4. Rehearse your prescription approach together.

In 90 days, you’ll see measurable improvements: higher revenue, more confident staff, and predictable cash flow.


Bottom Line

Raising cash flow doesn’t start with marketing—it starts with measurement. Your next growth phase is already on your schedule.

Track your Average Patient Charge. Train your team. Prescribe with clarity and confidence.

Because the fastest path to cash flow isn’t out there—it’s already inside your practice.

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1308 East Center Street

Pocatello, ID 83201

©2019 by Doctors CFO LLC, All Rights Reserved.

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